Tulsequah mine approval upheld by top court

The Supreme Court of Canada has upheld a decision on the adequacy of aboriginal consultation for the Tulsequah mine project. The Tulsequah mine, located near Atlin B.C., is wholly-owned by Redcorp Ventures (RDV-T).

Redcorp has been working towards advancing its Tulsequah polymetallic massive sulphide deposit to the mining stage since it received its original project approval certificate in 1998.

The company has been awaiting the decision of the Province of British Columbia’s appeal of a 2002 ruling that questioned the adequacy of the Crown’s aboriginal consultation regarding the 1998 project approval.

In the meantime the provincial government changed from NDP to Liberal and another project approval certificate was issued in December 2002.

The Tlingit natives were saying that there was not proper consultation on the government’s part. The band was concerned with construction of a 160-km access road from the mine to the town of Altin through traditional territory. They also raised fears about the impacts of the access road on the fishery and wildlife of the Taku River watershed, and the sustainability of the Tlingit economy, culture and wellbeing.

Their legal position was upheld by the British Columbia Court of Appeals, which ruled that the province had failed to meet its duty to consult with and accommodate the Tlingit.

However, the Supreme Court of Canada on Nov. 18, 2004, unanimously found that Redfern and the Crown had met their consultation obligations with respect to the Tulsequah mine project and also held that Redfern and the Crown sufficiently accommodated the interests of the Taku River Tlingit First Nation (TRTFN).The decision clarified that while first nations do not have veto rights over proposed developments, they must be consulted and their interests considered and accommodated.Redfern says it intends to consult with the TRTFN in order to continue to advance the project.

The past producing Tulsequah Chief gold-silver-copper-zinc deposit contains an estimated 7.6 million tonnes grading 6.63% zinc, 1.31% copper, 1.24% lead, 105.20 grams silver per tonne silver and 2.51 grams gold per tonne. This reserve was calculated in 1997 in compliance with the former National Policy 2A standard.

The feasibility study is based on a 2,500 tonne per day underground mine, mill and flotation processing plant producing a gold-rich gravity concentrate as well as zinc, lead and copper concentrates. The company has been actively drilling as it awaited the legal decision. In the process it firmed up the resource and has added to it considerably.

The 160-sq.-km property which last saw production in the 1950s, was acquired from Teck Cominco (TEK-T). A royalty of 10 per dry short ton of ore milled is payable on the Tulsequah and adjacent Big Bull properties.